Inheritance Tax Relief: Farms

Debate between Sarah Dyke and Wendy Chamberlain

Monday 10th February 2025 Westminster Hall

[Sarah Dyke (Glastonbury and Somerton) (LD)]

It is a pleasure to serve under your chairmanship, Dr Murrison, and to speak on behalf of the Liberal Democrats on this incredibly important issue. I thank all right hon. and hon. Members for their contributions, which highlight clearly the strength of feeling from around the country. I also thank the people who signed the petition, especially the 520 from Glastonbury and Somerton.

As has been well rehearsed, British agriculture is staring over a cliff edge. It has suffered from an almost never-ending list of difficulties over recent years: Brexit, energy prices, the war in Ukraine, the terrible Tory trade deals and a botched transition from BPS to ELMs. Against that background, the Government’s decision to implement changes to APR and BPR has rightly drawn criticism and anger from across the sector. The Liberal Democrats are deeply concerned about the impact that the family farming tax will have on farmers and rural communities right across the country.

I am in constant dialogue with farmers from across Glastonbury and Somerton. A consistent message from many is that this decision will inevitably lead to many family farms closing their gates for the very last time over the next few years. Just this weekend, I met a farmer’s son, who is in his 40s, on his family farm in Low Ham. He explained that he hoped to move away from his career as a civil engineer and go back to the farm full time, keeping the beef suckler herd at the heart of the business but introducing diversification projects to maintain a baseload of income for when agricultural markets fluctuate. He told me that the changes to IHT

“will be the end of any chances we have of keeping our farm going. I feel totally demoralised.”

[Wendy Chamberlain]

My hon. Friend is outlining the impact of this policy. The example that she gave about her constituent reminds us that there is a multigenerational element to farming, and families often live together. The Government have said that farmers should consider tax planning, but one challenge with tax planning is that a donor cannot keep any benefit from a gift. Do we think the Government intend to suggest that older parent farmers who tax plan need to move off the farm?

[Sarah Dyke]

I thank my hon. Friend for a very well made point, and farming is indeed often multigenerational. This is putting huge stress on farming families. I myself am from a farming family. My mother is 81, and my father died about a year ago. The pressure that it is putting on her to think about whether she can survive another seven years is so distressing, and I know that she is not alone.

Women’s State Pension Age: Ombudsman Report

Debate between Sarah Dyke and Wendy Chamberlain

Thursday 16th May 2024 Commons Chamber

[Wendy Chamberlain (North East Fife) (LD)]

I commend the hon. Member for North Ayrshire and Arran (Patricia Gibson) for securing this debate, and the Backbench Business Committee for granting it. However, I do think it is disappointing that the Government have not sought to have a debate on this issue in Government time, particularly when there is quite clearly cross-party consensus about the need for speed on it following the ombudsman’s report. I hope the Minister will be coming forward with some clear proposals today about where we go, and I hope he is also hearing how strong the feeling is across the House that the Government need to do something quickly.

On Monday, we had an impassioned debate in this place about the role of Members, and speech after speech stated that we in this place must uphold the highest standards and set the best example of good practice. There were arguments made by others about the importance of democracy and representation, and I may not have agreed with the conclusions they reached from those arguments in many cases, but I cannot fault their dedication to this place and to the job that we do here on behalf of our constituents. We should all therefore be able to support the basic idea that, when someone is wronged, and an independent body investigates and makes recommendations for recompense, those recommendations must be actioned.

The hon. Member for South West Bedfordshire (Andrew Selous), who is no longer in his place, made a very important point about the fact that we as constituency MPs refer constituents on to the ombudsman. How can any of us continue to do that in the future if the Government and indeed this place choose to ignore recommendations made by that ombudsman? The Government are not above the law, and we are here representing our constituents. It is damning that the report from the ombudsman had to be sent by the ombudsman to Parliament because, in its words, it had

“significant concerns…that DWP will fail to remedy the injustice”

and acknowledge the maladministration. What does that say? I expect the Minister will say that the Department needs more time to consider its response, but having listened to the other Members who have participated in the debate so far, I think many of us have no time for that any more, and certainly the WASPI women do not.

I listened with interest to the hon. Member for Wirral West (Margaret Greenwood) about the fact that female pensioners are most likely to be living in poverty. She made a very powerful and compelling case for that, and the reality is that the gender pension gap continues to this day because the gender pay gap also continues. We must have a social security system and a pension system that actually recognises the work women do and are more likely to do from a caring perspective. I did a lot of work on that in relation to my Carer’s Leave Act 2023, but women generally are more likely to work part-time or have time out of the workplace, so they are always going to experience lower levels of state pension.

[Sarah Dyke (Somerton and Frome) (LD)]

The injustice that WASPI women have faced is simply shameful. The financial burden has been outlined, but the anxiety they feel is also huge. A constituent has contacted me to tell me that the ordeal has had an enormous and horrible negative effect on her mental health, because she simply feels so powerless to do anything about it. Does my hon. Friend agree that this Government should immediately confirm that they will honour the ombudsman’s recommendations, and come forward with a proper plan to compensate the millions of affected women?

[Wendy Chamberlain]

I am grateful to my hon. Friend for her intervention, and I absolutely agree with her. We have had the report for some time, and I think the Government should be making a statement to say that they support it. It is quite clear that plenty of work has been done by both the APPG and the ombudsman to outline what a compensation scheme should look like.

My hon. Friend is right about the mental impact. I met a constituent of mine, Heather, several weeks ago. She is a single woman, so she does not have a partner’s or spouse’s income—that is the assumption made about women—to rely on. She has had to give up work as a teacher earlier than expected due to ill health, and feels that the injustice is compounded by the Government not having yet acknowledged the ombudsman’s report properly.

The DWP has had full notice of the investigation by the PHSO and its findings, and I would argue that they should therefore have had the opportunity to plan accordingly. With regard to the infected blood scandal, the Government have said that when the report is finally published on Monday, they will make a statement on what they will do very quickly thereafter. I feel, therefore, unmoved by the argument that they need more time to respond to the ombudsman’s report, when they have known for some time that it was coming. The first report on maladministration was published almost three years ago, so I just do not accept that the Government and the DWP have not had the time to consider the likely outcome of the findings. We knew that a recommendation for compensation was likely, so I would have expected the DWP to have started making plans for administering it.

While sitting in the Chamber, I have been notified by my researcher that I have had a response to a written parliamentary question, which states that the Department did not have sight of a draft copy of the PHSO’s report at the end of last year. My researcher has also confirmed with the WASPI campaign—I have met Angela Madden and others several times—who say that that is not the case, and that the Government did have sight of the draft report. I would be grateful for clarity from the Minister on that. I am happy to give way to him now—[Interruption] —or perhaps he can comment on that written response to the parliamentary question in his closing remarks. Is it correct that the Government did not have sight of the draft report at the end of last year?